Markets

Stock Market Extends Losses

In Wednesday’s session, sustained sell pressures amidst weak investor appetite weighed negatively on the local bourse as it extended losses into the second consecutive session. Sell pressures in DANGCEM (-3.2%), STANBIC (-10,0%), and NIGERIAN BREWERIES (-6.4%) dragged the All Share Index (ASI) southwards by 2.1% to settle at 32,466.27 points while YTD loss further moderated to -15.4%. In line with market performance, market capitalisation skimmed N256.1bn to settle at N11.9tn.

Local Bourse Pares Yesterday’s Gains

In line with our (Afrinvest) expectation, the domestic equities market reversed gains from the previous session as elevated sell pressures impacted market performance today. Consequently, the All Share Index (ASI) shed 0.1% to settle at 33,167.88 points while YTD loss moderated to -13.3%. Major drags today were FBNH (-8.3%), ZENITH (-3.1%) and SEPLAT (-4.6%) while gains in DANGCEM (+1.7%) cushioned the losses recorded. Market capitalisation also shed N10.3bn, settling at N12.1tn.

Diamond Bank’s Shares Hit 4-month High

Shares in Nigeria’s Diamond Bank rose to a four month high on Thursday, a day after the bank said four of its directors have resigned, in a move that could pave the way for the mid-tier lender to attract new investors.

The bank rose for the fourth straight session, up 7.19 percent to 1.49 naira. Diamond Bank has risen 24 percent since the start of this week.

Banking sources told Reuters on Wednesday that Diamond Bank was in talks with new investors while the bank’s chairman Oluseyi Bickersteth and three other directors resigned with immediate effect.

Bargain Hunting: All Share Index Rebounds

In Thursday’s trading session, the local bourse advanced by 44bps on account of buy interests in market bellwethers – NIGERIAN BREWERIES (+5.0%), DANGCEM (+0.3%) and NESTLE (+0.7%). Consequently, market capitalisation rose by N51.6bn to N11.9tn while YTD loss improved to –14.9%. However, activity level was mixed as volume traded shed 8.2% to 349.3m units while value traded rose 57.3% to N3.7bn.

Stock Exchange Returns to Negative Territory

Activities on the Nigerian Stock Exchange (NSE) returned to negative territory on Wednesday, after appreciating for two consecutive days.

The News Agency of Nigeria (NAN) reports that the crucial market indices closed southward, dropping by 2.37 per cent, amid loses by Nestle and Dangote Cement.

The All-Share Index lost 787.85 points or 2.37 per cent to close at 32,403.60 against 33,191.45 recorded on Tuesday.

Also, the market capitalisation which opened at N12.117 trillion shed N288 billion or 2.38 per cent to close at N11.829 trillion.

Sustained Bargain Hunting in Bellwethers Drives Equities Market

Photo L-R: Oyinda Akinyemi, Head, Equities Market,  Stanbic IBTC Capital; Aigbovbioise Aig-Imoukhuede, Managing Director, Coronation Asset Management; Oscar Onyema, Chief Executive Officer, The Nigerian Stock Exchange (NSE); Funso Akere, Chief Executive Officer, Stanbic IBTC Capital; Abubakar Jimoh, Managing Director/CEO, Coronation Merchant Bank Group; Manji Cheto, Business Development Manager, London Stock Exchange (LSE); Tony Ibeziako, Ag. Head, Listing Business Division, NSE and Ade Ewuosho, Ag.

Sustained Sell Offs Pull YTD Return into Negative Region

Sustained sell offs in the local bourse, which have persisted for 11 days, pulled the All Share Index (ASI) 1.3% lower to 38,104.54 points, its lowest in 5 months while YTD return fell to a deficit of 0.4%. Consequently, investors lost N181.8bn as market capitalization fell to N13.8tn dragged majorly by NESTLE (-4.4%), DANGCEM (-1.0%) and INTERBREW (-4.8%). Activity level strengthened as volume and value traded inched 39.2% and 108.0% higher to 476.2m units and N9.9bn respectively.

Local Bourse Extends Losses into 8th Consecutive Session

The local bourse extended losses from last week into Monday’s trading session as the All Share Index (ASI) dipped 0.7% - its 8th consecutive daily decline - to settle at 39,040.44 points while YTD return further moderated to 2.1%. Consequently, investors lost N106.9bn as market capitalization fell to N14.1tn. Sell pressures in banking stocks - GUARANTY (-2.3%), ZENITH (-2.1%) and FBNH (-4.6%) – were largely responsible for today’s bearish performance. Activity level softened as volume and value traded declined 24.9% and 44.8% to 222.3m units and N1.6bn respectively.

Markets in Red as Investors Adopt Risk Off Strategy

–Week Ended May 18, 2018


Global Equities Market
Weeks after the US pulled out from the Joint Comprehensive Plan of Action (JCOPA), the Trump administration provided conditions for a renegotiation with Iran which the country has refused. This coupled with Venezuela’s plunging oil production is anticipated to have a positive knock on effect on oil prices in the near term and most importantly on markets of oil dependent countries.

Sustained Bearish Run Drags Benchmark Index to 4-Month Low

The local bourse sustained its negative performance for the sixth consecutive trading session dragging the All Share Index (ASI) 1.1% lower to close at 39,723.85 points – lowest since the 4th of January, 2018 - while YTD return plunged to 3.9%. Accordingly, investors lost N154.6bn in value as market capitalization fell to N14.4tn – lowest since 9th January, 2018. The bears had the day as investors booked profit in bellwethers – NIGERIAN BREWERIES (-5.0%), ZENITH (-3.4%) and GUARANTY (-1.6%).

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